coli economists...homework help

[The Frozen One]

thought I'd ask here instead of asking in the higher learning since there's hardly anyone viewing it.

2 questions:

1. A socially efficient outcome is an equitable outcome

2. The more a person is willing to pay for clean water the more they value it.

Are these two statements, true, false or uncertain.

I think 1. is False and 2. Uncertain. But i'm not sure.

 

[Slaimon Khan Shah]

I THINK 2. IS TRUE.

 

[How Sway?]

not sure about 1 but I'd say 2 is true.

 

[SumBlackguyz]

2 is true. google opportunity cost

 

[AAKing23]

I'm taking microeconomics right now and I know that number 2 is true, but I'm not sure about number 1

 

[Donald J Trump]

guns and butter

 

[BedRoomI'z]

I think number 1 is true too

 

[Liquid]

Both are true

 

[YouMadd?]

Both are true... The teacher was trying to trick you with #1 though

#1 Is a social welfare question... A "socially efficient outcome" is a theory that basically means the costs are equal to the benefits in relation to the various social welfare programs...

Equity refers to equal opportunity for participants within an economy... This usually leads to a socially inefficient outcome in the market... However "Social Efficiency" is a fairly new theory that is supposed to cure these efficiency limitations that forced Equity/equality in the economy brings...